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tv   Special Report With Bret Baier  FOX News  March 30, 2010 6:00pm-7:00pm EDT

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please, these three books. pick them up. find them on internet, everywhere. from new york, good night, from new york, good night, america. captioned by closed captioning services, inc >> bret: next on "special report," c.i.a. weighs in on the iran nuclear weapons effort. and big businesses saying that the healthcare reform will hurt them. we look at how the national debt may skyrocket in the next decade and get analysis from brit hume. this is special report. good evening, i'm bret baier. c.i.a. report stopped short of saying iran has the capability to develop nuclear weapons. but suggests that it's moving in that direction. quickly. that information may help president obama's effort and that a visiting french president nicolas sarkozy to get support for new sanctions. white house correspondent mike emanuel ties it together from the pentagon. >> as iran continues to develop the nuclear missile program, one of the largest in the middle east, president
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obama says he has a timetable for sanctions. >> i'm not interested in waiting months for a sanctions relief in place. i am interested in seeing it in place in weeks. >> reporter: the new report from the c.i.a. says iran is keeping option open to develop nuclear weapons. the annual report to congress says, "iran continues to develop a range of capabilities that could be applied to produce nuclear weapons if a decision is made to do so." the c.i.a. says, "although iran had some technical set-backs in 2009, iran continued to expand the nuclear infrastructure and continued uranium enrichment despite multiple united nations security council resolutions since late of 2006, calling for suspension of the activity. this follows a february 18, iaea study where the u.n. nuclear watchdog warns the possibility iran has been working on development of a nuclear payload for a missile. republican congressman pete
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hoekstra says it's clear what tehran is doing. >> iran clearly is intentioned to develop the materials and the weapons that it believes it needs to be the major power in the middle east. >> reporter: at the pentagon, press secretary jeff moral says it's time for iran to come clean about the nuclear program. >> thus far, clearly, they have not done enough to convince any of us that their aims are purely peaceful. that is why the government after extend i extending a hand year they have pivoted. >> do we have unanimity in the international community? not yet. that is something we have to work on. >> we will make all necessary evidents to ensure europe as a whole engage in the sanction regime.
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>> the question mark is china. secretary of state clinton says there will be consensus in security council but pete hoekstra says while china may say they don't want nuclear iran, the actions suggested they don't really care. >> bret: mike emanuel at the pentagon. thank you. the c.i.a. says north korea now has the capability to produce nuclear weapons with a 2 kilaton yield, equalling 2,000 tons of tnt. today north korea said they would have a nuclear reactor to use the country own fuel in the near future. the communist nation said in june they would begin enriching uranium which is ready and available in north korea. u.n. and other nations trying to get them to return to talk aim to end the nuclear program. president obama is hosting a dinner for french leader nicolas sarkozy and his wife in a few minutes following the earlier meeting at the white house. france is one of many traditional allies that has had difficulty with president
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obama. tonight, senior white house correspondent major garrett explores the state of the union when america and its friends. >> reporter: nicolas sarkozy arrived in washington 14 months after the obama presidency, the last of the big leaders to make it to the white house. in an example of unexpected strain in the u.s.-european relations. in new york yesterday, sarkozy gave voice to growing sense of european estrangement. >> we cannot afford to have the world's number one power not being open to the rest of the world. the world does not stop at the east coast, nor at the west coast. >> almost a year ago, sarkozy and europe sang a different tune. >> it feels really good to work with a u.s. president who wants to change the world. and who understand that the world does not boil down to simply american frontier and borders. on sunday, house of commons committee declared the --
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[ inaudible ] with the united states is over. the committee said mr. obama has uneven relationship with british prime minister gordon brown had take an more pragmatic tone with britain but still the analysts say europe feels slighted. >> you are starting to hear the concerns well, that the values question, kwou, okay, okay. we need to go do work and be transactional in nature. the value proposition at the center of the u.s.-european relationship. as that begins to shake, the whole relationship shakes. >> this is not what candidate obama promised. >> i will build new partnership to defeat the threat of the 21st century. terrorism, nuclear prolef ration, poverty, genocide. >> but sarkozy criticized him for timidty. the leader were miffed when they were cut out of side deal at copenhagen talks.
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analysts say some nations now doubt strength of mr. obama's word. >> the united states is getting reputation of a country that can't be trusted for more than three days at a time. >> when asked about it, sarkozy said mr. obama keeps his word. >> we don't like surprises. when he can, he delivers. when he can't, he says so. >> the same could be said of the frequency and the equality of the u.s. and european interactions and agreements. with a little bit of emphasis on "does not." >> bret: major garrett live at the north lawn. thank you. prudential financial today became the latest company to take a huge charge against earnings because of changes related to the healthcare reform law. molly henneberg reports a powerful congressional democrat is fighting back. >> reporter: as president
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obama today signed bill of sixes to the healthcare reform law, four businesses -- at&t, verizon, caterpillar and deere -- are trying to fix a situation they're in with the democrats in congress. representatives henry waxman of california and bart stupak of michigan want the ceos to appear before a congressional committee on april 21. to explain why, the companies say one part of a healthcare reform law is going to cost them eye popping amounts. for example, $1 billion for at&t. the companies say starting in 2013, they have to pay more to provide prescription drug coverage for retirees, because the new law takes away a tax break. they're required by law to declare the cost now. the congressman sends a letter to all four ceos saying the new law is designed to "bring down costs, so your assertions are a matter of concern. "and told them to provide "any documents, including e-mail messages related to the projected impact of healthcare reform" and a
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"explanation of accounting methods used to prepare the cost impact." business lobbyists say instead of hauling ceos in front of congress, lawmakers should restore the tax break. >> this is the worst time imaginable to put this kind of a hit on corporate balance sheets. we certainly don't want to encourage companies at some point in the future to have to move their retirees over to the medicare program, which will cost the federal government more money. >> the white house says the government will continue to pay for or subsidize 28% of a business' cost, tax-free providing the prescription drug benefit to retirees but the companies can no longer deduct 28% on tax forms. administration officials do not think this will lead companies to stop providing the benefit. >> this is a subsidy provided to the businesses by the taxpayers. they're still getting a subsidy. we expect them to continue on with it. >> but for now, the companies in the congressional spotlight are trying to determine their next step. verizon says it's gathering information and will provide a, "timely response."
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caterpillar says it's aware that a hearing has been scheduled and that the ceo has been asked to attend. deere tells fox congress does have subpoena authority but the company has not received a subpoena yet. at&t had no comment beyond its financial filings last week. bret? >> bret: molly, thank you. the insurance industry's top lobbyists says insurers will not block the administration effort to fix a gap in healthcare reform legislation that leaves some sick children without coverage. health and human services secretary kathleen sebelius is expected to issue new guidelines to close the loophole in a few weeks. part of the package of fixes to the healthcare law president obama signed today includes a change in way students get loan for college. in 2014, private banks will no longer receive fees for acting as middlemen in federal student loans and the president says the law will make college more affordable. republicans say it's another unwanted expansion of
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government. speaking of money, spending someone else's at los angeles nightclub cost a party staffer her gig. there is your cash that's tied up in the national debt. it's getting much worse. quickly. full report and brit hume's analysis straight ahead. boss: y'know, geico opened its doors back in 1936 and now we're insuring over 18 million drivers. gecko: quite impressive, yeah. boss: come a long way, that's for sure. and so have you since you started working here way back when. gecko: ah, i still have nightmares. anncr: geico. 15 minutes could save you 15% or more on car insurance.
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for you and your entire family with today's special offer. call today and mention i.d. alert... or go to lifelock.com. >> bret: in tonight's one nation under debt report, alarming numbers from the congressional budget office about how far in debt you and your children may become over the next decade. shannon bream examines a report that has a picture bathed in red ink. >> reporter: the numbers are startling. federal debt that is 40% of the gross domestic product will skyrocket to 90% in ten years. that is according to the non-partisan congressional budget office. >> history says when you
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flirt with 90% debt to gdp ratios, you flirt with trouble. >> reporter: former c.b.o. director douglas holts-eakin says as they downgrade the interest rates. >> individual bar rowing and across the board, car loans will be impediment to economy growth. something everyone pays for in the end. >> it's clear that the american people understand the trouble brewing. when asked whether the terrorism or the national debt is bigger threat, 65% said national debt. 70% believe it's possible that the nation's economy could collapse. >> we are piling on a debt to leave ourselves in possibility where we could face fiscal crisis and we'd be unable to respond if any other crisis, national disaster or another war or double-dip recession were to hit us. we wouldn't have the fiscal fire power to respond. >> changing demographics are
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also adding to the problem. as the group that contributes the most to government coffers age 22 to 64 is declining, at the same time those 65 and up tapping heavily to the government resources like social security and medicare increase. president obama who came in office facing a federal debt of $6.3 trillion, which has grown in a year to more than $8 trillion, has created a bipartisan debt commission to tackle the problem. experts say they have to work together to save off complete financial ruin. >> easy to get in the political posturing and is there are plenty of opportunities on this. this is a serious problem. more serious than healthcare. the future of the economic mite of the nation is at stake. both parties need to get together and get it done. >> moody's investor service, top credit rating agency issued a warning that they the u.s. is risking the triple-a rating and time for the american people to decide what level of pain they are willing to accept to have a healthy economy.
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>> thank you. senior political analyst brit hume joins with us historical perspective on the politics of debt. good evening. >> hi, bret. 25 years ago when congress was locked in a fear debate about the rising budget deficits of the reagan years, conservative house member newt gingrich derided his fellow republican senator bob dole as the tax collector for the welfare state. a sign of the time. deficits were trifling compared to today and the debate will be on about what to do about them. what drove gingrich's characterization of dole is tendency of some republicans with mushroom spending on benefit program prized by democrats to agree to the large tax increases to pay for them. but republican members struggling to rein in spending failed and "b," made them target for the democrat eck attacks. witness george w. bush's
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effort to reform social security by partially privatizing it. the democrats no doubt sense they have set another trap for republicans. if the republicans resist heavy new taxes to offset the deficit, they will have to support the serious benefit cut that the public repeatedly gaffed on in the past. public alarm on spending has never been as intense as it seems today. some republicans like paul ryan of wisconsin who has a serious plan involving serious cuts are betting it will be different this time. we will see. bret? >> bret: do you sense there is a disconnect between this white house and the public concerns over debt? does this white house grasp worries? >> it seems to have noticed that the national debt and the deficits has grown as a matter of public concern. you heard it in your interview with president obama when he acknowledged that the healthcare reform plan didn't agress the long-term fiscal problems the country faces.
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the question is he will propose anything serious to deal with it and if he does, what is in it? and what republicans do particularly after the the election when they are likely to be in greater numbers in both houses of congress. we have to see how it turns out. >> bret: on the subject of debt, millions of americans owe more on their homes than the houses are worth. we will look at that shortly. and uproar in the southwest over border security and a rancher's murder.
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>> bret: the justice department inspector general says the agency failed to make fighting identity theft a priority.
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the report says they don't have the leadership to combat crime. russian prime minister vladimir putin said mastermind of the subway bombings will be "dragged out of the sewer." 39 people died in twin bombings in moscow and more than 70 people are hospitalized. five in critical condition. the last of nine members of militia group was arraigned today in detroit. other members of the group called huttery were arrested over the weekend in michigan, indiana and ohio. and arraigned monday. some residents of southern arizona will carry their own weapons to protect themselveses from illegal immigrants following death of a well-liked rancher, ostensibly at hands of illegal. correspondent william la jeunesse reports on a message heard all the way to washington. >> his buddy was found. three miles out over that
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way. >> reporter: to roger barnett, the murder of neighbor rob crantz is no surprise. >> sad deal he had to die over this. >> reporter: for year they complained being overrun by the illegal imcombramigrants wh cut the fences and steal. >> over the past six months the number of the home break-ins and robberies by illegal aliens most going back to new mexico after delivering drugs in the united states has increased dramatically. >> reporter: on saturday, while tending to the ranch, he radioed his brother saying he would help an illegal immigrant, probably with water. that was the last anyone heard from him. police found he and his dog shot dead. trackers followed the killer's footprints to mexico. >> the best chance of capturing this guy at this point, with this time elapse is he will say something to somebody who down the line will say something to someone else and we'll work it from there. >> reporter: border security faded from the headlines but those who live here know the
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problem has only gotten worse. marijuana says sures increased -- see sures 58%. cocaine up 315%. illegal immigration is down overall, it's up 20% in the area of the ranch. >> they're trying to get the drugs up here and people up here. billion dollar industry. >> i feel and a lot of my friends and acquaintances feel the same way that the national guard is the answer. >> governor brewer and senator mccain are also now calling for the national guard to return to the border. while immigration activists say the murder is an aberration, locals say it sends a clear message to washington. you can't have comprehensive immigration reform, without border security, and right now, bret, this does not exist on the u.s.-mexican border. bret? >> bret: william la jeunesse, live in southern arizona. thank you. a father who lost his son in iraq has now lost a court battle against people who protested at the funeral. republican party staffer has
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myers was let go after reports surfaced monday that the rnc reimbursed a donor about $2,000 for footing the bill at voyeur nightclub after a fundraiser earlier in the evening at a nearby high hotel, internal g.o. email was sent monday after saying that the after support -- party was not an rnc sanctioned event and the money would be returned to the organization. the father of a fallen lance corporal matthew snyder whose funeral was pictured by a radical kansas church group has been ordered to pay the protesters court costs. the court of appeals and ordered albert schneider to may more than $16,000 to the leader of westboro baptist church. snyder had filed suit against the group for demonstrating at his son's funeral in 2006. the topeka church frequently pickets military funerals carrying signs thank god for
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dead soldiers as well as protesting homosexuality. the supreme court will hear the case next term to decide whether the right to picket funerals is protected or limited by the privacy and religious rights of the mourners. ahead of easter sunday, president obama says he and his wife michelle have decided against joining a church in the area because of the security involved in a presidential visit. quote, we have decided for now not to join a single church because michelle and i have realized we're very disruptive to services. the president says his family enjoys the chapel services at camp david when they travel there and the president repeated that he receives daily devotional messages from pastors on his blackberry. and finally, one iowa town has realized it was a bad idea to take away good friday from municipal calendars. davenport's city administrator acted on a recommendation by the city civil rights commission to change the name good friday officially to spring holiday. well, that not only angered
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christians, but also union members whose contracts gave them good friday off. but not the spring holiday. the city quickly reinstated good friday and called the name change an error. >> bret: consumer confidence is increasing slightly after a plunge in february. fox business network correspondent gerri willis has a road to recovery report on a better than expected rebound. >> good news. consumers are more confident, according to the conference board's march survey of 5,000 americans that index jumped to 52.5 from february's 46.4 reading. confidence matters because consumers are responsible for two thirds of the nation's economic activity. happy consumers typically mean good economic times. >> what we have seen so far in the first quarter of the year is that consumer spending seems to be picking up. people are opening their wallets a bit more than they were a year ago. >> while the rebound is good, it still doesn't come anywhere
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close to the all-time high in may of 2000 when the index climbed to levels nearly three times today's level. >> we are at levels one would associate with the middle of a recession. not with being a good five, six months after the end of the recession. so for the consumers, in effect, this could be worse than many retailers are starting to see a stabilization of the losses, other retailers are starting to see small increases. 1 to 2%. we are not seeing double digit increases. that's okay. >> looking for a signs times really are better look for jobs growth on friday when the monthly jobs report comes out. any significant improvement is a
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sign recovery will soon reach consumers wallets in new york gerri willis, fox news. >> bret: there was some encouraging news on the housing front as home prices showed their smallest annual decline in almost three years in january. prices actually rose three tenths of a percentage point from december to january. the eighth straight monthly gain. however, there are still more than 11 million homes nationwide worth less than the amount of the outstanding loan. correspondent james rosen looks at the rising tide of underwater mortgages. >> this is actually the family room we used to hang out in. >> for 236-year-old cornell reed it systems managers holding down two jobs to support three children. the town house he bought in maryland for $380,000 was supposed to anchor his financial future. but the home is now valued at 270,000 and a split with his fiancee means reid must sell short already unpleasant process tied up in seven months of red
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tape with his lender. >> they claimed i made too much money the mortgage was current so they said you had to be behind 60 days or more. i got behind 60 days or more then they say i still didn't qualify for anything. they basically told me what my options were. give the house back or sell it or get out. >> those with steady employment are urged to sit tight and wait for home equity to build back up. others like cornell read must sell short. others opt for strategic foreclosure. a calculation they will save more money by abandoning a property than by waiting for its equity to return. >> they have to run the calculation, however, of how is this going to damage my credit going forward am i giving up the possibility of owning a home for the foreseeable future because this thing goes on my record? so it's not a costless exercise. >> a foreclosure and even a house sold short can prove contagious in a neighborhood. most especially says a veteran of 15,000 closings in communities with uniformity of
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architecture. >> when you have apple, apple, apple, apple and one of the apples due to a short sell or foreclosure goes from $800,000 original purchase price to a distressed sale of 400, everybody else left with an apple is now immediately valued at 400. >> analysts say the highest concentrations of underwater homeowners are in sun belt states like california, arizona, and florida. because those states saw the biggest housing booms and the largest plummets in prices. in washington, james rosen, fox news. >> bret: well, the winning streak continues on wall street. the dow gained 11.5. the s&p was up .05. the nasdaq finished ahead 6.3. nasa engineers will try to figure out why some toyota vehicles have experienced sudden acceleration. there are problems that the suspicion with the vehicle's electronics. national academy of sciences will conduct the study.
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they have 8 million vehicles worldwide. no evidence the issue is related to electronics. president obama says he wants sanctions on iran in coming weeks. as the cia weighs in on tehran's nuclear efforts. we will get reaction from the fox all stars when we come back. and you were... a little irregular, sluggish. my daughter needed activia! so i gave it a try and wow. it works. now she has a spring on her step. i'm loving it, every morning. mmmm. avo: help get your system back on track. activia with bifidus regularis helps regulate your digestive system would you recommend activia? i already have. she recommends it. what are you waiting for? singer: activia. you must be looking for motorcycle insurance. you're good. thanks. so is our bike insurance. all the coverage you need at a great price. hold on, cowboy. cool. i'm not done -- for less than a dollar a month, you also get 24/7 roadside assistance.
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within weeks. >> bret: weeks, not months, according to president obama after meeting with french president nicolas sarkozy at the white house today. this as a new report from the cia is out. unclassified version saying iran is keeping the option each to develop nuclear options. steve hayes for "the weekly standard" juan williams and charles krauthammer. call for sanctions in weeks not monts. >> it's a good sign from the president. i think it's one thing for him to call it it's another thing for him to do the diplomatic work that actually makes it happen. i think that's unlikely. we have already heard china say basically without qualification that they oppose the sanctions. we had russia last week say sanctions can be counter productive even as they allowed that participating in the sanctions the regime was possible for russia. the bigger problem though, if you take a step back and look at the policy, is that we have a defacto containment policy. the sanctions, even if sanctions are passed, let's take the white
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house's best case scenario here, this doesn't get us that much closer quickly enough to stop iran from doing what it is doing on nuclear weapons development. >> bret: what's your analysis of this report to congress about iran's capabilities? >> you know, it's very interesting. in the summer of 2007, you had the cia basically saying we know iran is producing a nuclear weapon. that fall we said we don't know if iran is producing a nuclear weapon. we do know they suspended weapons development. their weaponnization program in 2003. well, you know you have have this report that basically punts. it says nothing about weaponnization. omits the part that's inconvenient to its analysis which suggests to me that we don't actually know what iran is doing on weaponnization and that's a huge problem if we don't have that visibility. >> bret: juan, pete hoekstra and others are calling for independent analysis of the situation in iran and saying that the intelligence community really needs to step up now as the clock is ticking. what about that as this report comes out? >> why would he question the
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report? i mean, clearly, you can have a sense that it punts as steve was saying on this critical issue. but i don't think there is any reason at this point to doubt american intelligence about what's going on there. the international atomic energy group that's been in there says they really are unsure as to the extent of the development. so i don't know exactly, unless he was going to send independent agents in to -- and he thought had better access. i'm not sure. now, i will say there is additional hints in the report about chemical and biological weapons being developed by iran. and that is equally troubling because, obviously, they would have the capacity, not only to put satellites in orbit but to launch rockets that have biological and chemical weapons in the warheads. >> bret: charles, this report follows the february 18th report by the u.n.'s nuclear watchdog the iaea in which warned of the possibility of iran working on the development of a nuclear pay load for a missile. now, these reports are piling on
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on top of each other as the efforts to get sanctions appear from the administration's point of view to be moving forward but from others, saying china and russia don't appear signed on, at least yet. >> well, the iaea report indicates how embarrassing it is if the u.s. is softer on iran than even the iaea, which is famously soft on iran. you talked about the marrying of the weapon on to a missile, that's called weaponnization. well, the u.s. report, the nie, the national intelligence estimate of 2007, had said that the iranians had stopped that program in 2003. now you get iaea as you indicated saying in february it's probably working on it. so even that is out of date. and the 2007 report also implied it was read as iran stops its nuclear work, which, of course, it did not. because the two other elements of a nuclear engagement, which are the enrichment of uranium
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continue and continue in accelerated way and secondly the development of ballistic missiles also developing. so the nie in 2007 was wrong on weaponnization. we are now beginning to start to amend it. it looks as if the cia report is a way to, if not punt but at least begin to undo the damage of the 2007 report. and get it right. willing to have the revised nie that will get it right. even if we get it right, it's late in the day. this administration has wasted a year and three months in what it says is a strategy of concessions, open outreach as a way to strengthen the alliance and to strengthen the consensus. president announces, he said today, that he even after a year and three months he doesn't even have unanimity in the security council. he has got nothing. >> bret: secretary clinton, steve, is saying that she believes china is going to be a
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part of this process in the u.n. security council. it was a little vague, her statement about what kind of role china could play in these sanctions. they have been pushing back pretty hard publicly. >> >> yeah, look. that's important. if they get it, great. that would be wonderful if they get it. to me, you are so focused -- she is so focused on process that it loses sight of the big picture. last week the administration was trumpeting in the middle of the week the fact that china conference call contemplating additional watered down sanctions that that might or might not have some effect. when you are excited about china participating in that kind of a conference call and iran is racing towards a nuclear weapon? that's not a serious policy. >> and there is one other aspect of this unseriousness. what we're going to get with sanctions at most is china's acquiescence to what ultimately is not going to be effective. but it will allow us and the europeans, it will be permissive in the sense it's not going to
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be china applying any sanctions. it will not. it will allow us and the europe to impose our own unilateral sanctions. what kind of i had gross i had i don't say is i is this? why do we need china to give us permission on sanctions on a regime that is threatening us, the region and our allies. >> bret: juan, quickly. >> missed out on recent history where we did not have acclimation in terms of our reactions in iraq. we are looking for a world that will say to us this is necessary. the world is condemning what iran is up to. and the world wants to stop. and the idea that the start treaty with the russians looks to be in place and the russians now are putting in place some kinds of kind of models for limits nuclear expansion and proliferation. iran, you have to play by the rules, too. the administration regards that as a triumph and the first step to getting that kind of worldwide support for taking potentially either by israel united states military action against iran. >> bret: juan, you can appreciate the skepticism on
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both sides of view. >> yeah, i do. but i think at some point in the very difficult and ticklish negotiations going on, what good does this cynicism do unless you say let's send the troops in now. >> not the troops. where is the triumph in waiting a year and three months to get a permission slip from china for the u.s. and europe to engage in their own unilateral sanctions? >> and, look, the president said today with president sarkozy that this proliferation of nuclear weapons was the most important, the greatest global threat. i think by punts on iran, by basically not having iran policy or defacto containment policy, he makes it far more likely that iran gets a weapon and we do see this nuclear arms race in the region, which of in fact, undoes what he has has a central goal of his presidency. >> bret: we will have much more on iran, i guarantee. get more on iran and nuclear efforts on our home page
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foxnews.com/special report. congressional democrats trying to deal with the companies downside of health care reform. twin-turbocharging, 365-horsepower-generating, ecoboost engine in the taurus sho from ford. ,
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>> there are been countless studies, one by the business round table on the fact that business will see in lower premiums as a result of health care reform. >> this is the worst full-time imaginable to put this kind of a hit on corporate balance sheets and we certainly don't want to encourage companies future to have to move their retirees over to the medicare program which will end up costing the federal government more money. so they shouldn't be so defensive about it they should plan on fixing it. >> bret: there is a growing list of companies, at&t, verizon, caterpillar, deer, saying that they in 2013 because of the new
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health care law will have to start paying more for prescription drug coverage for retirees because the law is in place they won't be able to get a tax break. the white house says that the government will continue to subsidize that but you can't take the tax break as well. henry waxman has called the ceos of these companies to congress to talk about their matters of concern and bring any document documents and email messages related to this writedown. we are back with the panel. it's a bit complex, charles, but essentially the ceos are getting called on the carpet. >> that's what's amazing here. democrats enact obama care with a zillion new taxes and shocked, shocked when corporations disclose what it's goods to cost them. look as the "wall street journal" pointed out financial regulations require, prior that is company immediately restate its earnings when there is a change in the status of the present value of its medical
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liabilities which is what these guys have done. if you don't, you go to jail. now, what's troubling here is not that the administration is only trying to get companies to sort of hide the fact that this is going to cost, it's not a free lunch as it has been pretending it's the the attitude of the democrats in washington. it takes over businesses, chrysler, g.m., it takes over student loans, it nationalizes it without a debate at all. and then there is also this attitude that chairman waxman will call on the carpet a corporation, a ceo to explain its actions as if corporations aren't independent entities who produce a product to make a profit but agents or wards of the government who have to answer for every action. it's a kind of corporatism you see in europe. we have never had here. it's an attitude that i think is truly alarming. >> bret: juan. >> i don't understand it people should pay their taxes it looks to me thee guys have seen in the
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health care bill a ripe opportunity for all their accountants to yell hey, give us a tax break. we want the tax break. and i don't see that there is any problem with henry waxman saying explain to us why you feel you deserve this tax break. you weren't raising this as a concern during the year plus long deliberations and debate over health care in this country in fact what we have a plan that will cover the prescription drug benefits you can't take the tax break. in fact, some of your employees if they are in need of additional services are now eligible. if you want to send them over there to participate in the exchanges and that get benefits in other ways, explain to me why all of a sudden you are eligible for these billions of dollars in tax breaks. >> what they are saying is if you remove the break it costs us more. waxman says that's horrible that you have actually announced that. >> look, if they were going to make a political move, they would have done this before the bill passed. the suggestions from democrats that this is all about politics and trying to embarrass the
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administration. >> bret: it's the law. >> they have to do it both on internal accounting practices and because the sec requires them to do. this which is a key point. this is part of a pattern. had you nancy pelosi within a day or two of the passage of this legs say -- legislation say if insurance companies raise premiums, something some insurance companies will surely have to do because they will be covering more people if they raise premiums she might not let them in government exchanges. how you can possibly say that? she said unless they do the right thing, they should know that they're not automatically allowed in. this is a scary rhetoric. sometimes i think people who believe what i can believe can be over the top or over the top with apocalyptic language or get too worried about it. this is really big brother stuff. this is scary. >> look at wall street, the insurance companies the stocks are up. pharmaceuticals stocks suspect. wall street is on a winning strook. if they thought this was typical they would not be there.
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>> bret: i can promise you that's not the end of this discussion either. stay tuned for interviews competition that may have been lost in translation. i was short of breath,
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finally tonight u.s. at least of all kinds compete in international competitions all the time all over the world. sometimes it's interesting to hear the interviews from both sides after u.s. athletes go head to head with their international rivals. >> unfortunately i didn't get through my heat in round 1. yesterday the waves were pumping. >> okay. >> here is the american surf. >> you get the best girls ever, dude. you just get spit right out of them and you just drop in and just smack it -- drop down. pow. and then after that. [ applause ] >> bret: much more

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